Key Indices
Top Stories
Company Results | Carlsberg Brewery Malaysia (CAB MK/BUY/RM14.46/Target: RM21.10)
- Carlsberg’s 2Q26 results met expectations. The Malaysian segment remained robust whereas Singapore was hit by unfavourable forex and a reclassification of its export sales. However, the impact from the excise increase was likely softened by festive discounts, and its full effects may only be felt in 2H26. As such, we trim our forecasts marginally, imputing lower sales volume offset partially by higher ASPs. Maintain BUY with a lower target price of RM21.10.
Company Results | CelcomDigi (CDB MK/BUY/RM2.84/Target: RM4.05)
- 2Q26 underlying net profit of RM430m (-1% yoy; +3% qoq) reflects service revenue growth of 1% qoq and opex savings of RM100m in this quarter. Results are in line with expectations. Positively, management has raised total opex savings for 2026 to RM470m, higher than the initial RM460m guidance. This suggests RM330m of cost savings in 2H26 vs RM140m in 1H26. Maintain BUY on CelcomDigi with a DCF-based target price of RM4.05.
Company Results | Maxis (MAXIS MK/BUY/RM3.70/Target: RM4.20)
- Maxis reported another strong net profit of RM436m for 2Q26, driven by margin expansion on continued cost discipline and converged bundling, coupled with persistently stable service revenue growth. The quarter saw positive ARPU uplift across the mobile and home segments. Accounting for 53% of our and consensus full-year estimates, the results are in line with expectations. Maintain BUY with a DCF-based target price of RM4.20. The stock offers a 5% dividend yield.
What’s Inside
Company Results | Affin Bank (ABANK MK/HOLD/RM2.23/Target: RM2.48)
- Affin’s 2Q26 results came in below our and consensus expectations. While robust loan growth, resilient NIM and cost discipline supported strong underlying operating momentum, the negative earnings variance was due to higher-than-expected credit costs amid rising community banking asset-quality pressure.
Company Update | CIMB Group (CIMB MK/BUY/RM7.95/Target: RM9.30)
- CIMB Groups’s 93%-owned Bank CIMB Niaga reported 2Q26 net profit of Rp1,671b (+1% yoy, -5% qoq), bringing 1H26 earnings to Rp3,436b (-0.5% yoy). This is in line with our expectations with 1H26 earnings comprising 48%/49% of ours/consensus full-year estimates. Maintain BUY on CIMB Group with an unchanged target price of RM9.30.
Market Spotlight
- The FBMKLCI surrendered 7.32pt to close at 1,727.39 last Friday due to selling pressure across the board.
- US stocks were lower after the close on Friday, as losses in the healthcare, technology and consumer services sectors led shares lower.
Tehnical Analysis
FBMKLCI, FCPO & FKLI Index Outlook
Traders’ Corner
3 Ren | 3REN MK
- Trading Buy Range: RM0.43-0.44
Wasco Greenenergy | GENERGY MK
- Trading Buy Range: RM0.195-0.20
Mclean Technologies | MTB MK
- Trading Buy Range: RM0.74-0.755
Top Stories
Company Results | Carlsberg Brewery Malaysia (CAB MK/BUY/RM14.46/Target: RM21.10)
- Carlsberg’s 2Q26 results met expectations. The Malaysian segment remained robust whereas Singapore was hit by unfavourable forex and a reclassification of its export sales. However, the impact from the excise increase was likely softened by festive discounts, and its full effects may only be felt in 2H26. As such, we trim our forecasts marginally, imputing lower sales volume offset partially by higher ASPs. Maintain BUY with a lower target price of RM21.10.
Company Results | CelcomDigi (CDB MK/BUY/RM2.84/Target: RM4.05)
- 2Q26 underlying net profit of RM430m (-1% yoy; +3% qoq) reflects service revenue growth of 1% qoq and opex savings of RM100m in this quarter. Results are in line with expectations. Positively, management has raised total opex savings for 2026 to RM470m, higher than the initial RM460m guidance. This suggests RM330m of cost savings in 2H26 vs RM140m in 1H26. Maintain BUY on CelcomDigi with a DCF-based target price of RM4.05.
Company Results | Maxis (MAXIS MK/BUY/RM3.70/Target: RM4.20)
- Maxis reported another strong net profit of RM436m for 2Q26, driven by margin expansion on continued cost discipline and converged bundling, coupled with persistently stable service revenue growth. The quarter saw positive ARPU uplift across the mobile and home segments. Accounting for 53% of our and consensus full-year estimates, the results are in line with expectations. Maintain BUY with a DCF-based target price of RM4.20. The stock offers a 5% dividend yield.
What’s Inside
Company Results | Affin Bank (ABANK MK/HOLD/RM2.23/Target: RM2.48)
- Affin’s 2Q26 results came in below our and consensus expectations. While robust loan growth, resilient NIM and cost discipline supported strong underlying operating momentum, the negative earnings variance was due to higher-than-expected credit costs amid rising community banking asset-quality pressure.
Company Update | CIMB Group (CIMB MK/BUY/RM7.95/Target: RM9.30)
- CIMB Groups’s 93%-owned Bank CIMB Niaga reported 2Q26 net profit of Rp1,671b (+1% yoy, -5% qoq), bringing 1H26 earnings to Rp3,436b (-0.5% yoy). This is in line with our expectations with 1H26 earnings comprising 48%/49% of ours/consensus full-year estimates. Maintain BUY on CIMB Group with an unchanged target price of RM9.30.
Market Spotlight
- The FBMKLCI surrendered 7.32pt to close at 1,727.39 last Friday due to selling pressure across the board.
- US stocks were lower after the close on Friday, as losses in the healthcare, technology and consumer services sectors led shares lower.
Tehnical Analysis
FBMKLCI, FCPO & FKLI Index Outlook
Traders’ Corner
3 Ren | 3REN MK
- Trading Buy Range: RM0.43-0.44
Wasco Greenenergy | GENERGY MK
- Trading Buy Range: RM0.195-0.20
Mclean Technologies | MTB MK
- Trading Buy Range: RM0.74-0.755
Key Indices
IMPORTANT NOTICE - DISCLOSURES AND DISCLAIMERS
This report is provided subject to, and must be read together with, the full Disclosures / Disclaimers available at this link, which are incorporated by reference into this report. In particular, this report is intended for general circulation and informational purposes only and does not constitute personal investment advice or a recommendation to buy or sell any investment product or security. You should independently evaluate the information and, where necessary, seek advice from a qualified financial adviser regarding the suitability of any investment. Analyst certifications required under applicable regulations, including SEC Regulation AC (where relevant), are included in this report. By accessing, receiving or using this report, you acknowledge that you have read, understood and agreed to be bound by the Disclosures / Disclaimers, as may be amended, supplemented or updated from time to time.
